Crocs Inc (CROX)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 910,704 | 1,025,980 | 666,569 | 492,841 | 425,382 |
| Total current liabilities | US$ in thousands | 698,296 | 641,274 | 388,243 | 291,584 | 257,223 |
| Current ratio | 1.30 | 1.60 | 1.72 | 1.69 | 1.65 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $910,704K ÷ $698,296K
= 1.30
Crocs Inc's current ratio has been fluctuating over the past five years, ranging from 1.30 to 1.72. A current ratio measures a company's ability to cover its short-term liabilities with its short-term assets.
In 2023, the current ratio decreased to 1.30 from 1.60 in 2022. This indicates that the company may have slightly less liquidity to cover its short-term obligations compared to the previous year.
The current ratio of 1.30 suggests that for every dollar of current liabilities, Crocs Inc has $1.30 in current assets available to cover these obligations. While the ratio is above 1, indicating a theoretically healthy position, the decreasing trend over the years may warrant further investigation into the company's liquidity management and working capital efficiency.
It would be beneficial for stakeholders to closely monitor the current ratio in upcoming periods to assess the company's short-term solvency and liquidity position.
Peer comparison
Dec 31, 2023